2 The wealthy dominated governmentThe rich did not care about worker’s issuesThe gap between the rich and poor was wideTension between rich and poor grewPeople started to wonder if capitalism & laissez faire economics was the answerLooked to other economic/political systemsSocialism & CommunismKarl Marx & Fredrick EngelsMost viewed ideas as to radical

3 Socialism – economic and political philosophy that favors public instead of private control of property and incomeCommunist Manifesto – Karl Marx

4 Labor Unions Start to FormFight the injustices of capitalismShorter work days/weeksHigher wagesBetter/safer working conditionsEnd to child labor

5 Unions Formed Most employers were unwilling to change conditions1. Workers in a trade joined together to bargain for better wages and working conditions2. Goal = collective bargaining with owners to improve situationMost employers were unwilling to change conditionsWorkers threaten to strike – Scabs were hiredSometimes mob riots broke out

6 Early Labor Unions Knights of Labor 1869Organize all workers, men/women, skilled and unskilled, African AmericansTerence PowderlyDid not use strikes as tool8 hour work day, equal wages for equal work, end to child labor

7 American Federation of Labor (AFL)Led by Samuel GompersSkilled workers only – craft unionUse of strikes and boycottsForce collective bargaining

8 Industrial Workers of the World “Wobblies”Focused on unskilled workersStrikes led to violence, many arrested for promoting strikes in war-related industries

10 Employers reactions Took measures to stop unions from formingThey feared higher wages would raise costs and make them less competitiveLoss of profits

11 Famous/Infamous Labor StrikesThe Great Railroad Strike of 187710% wage cuts due to recession on Baltimore and Ohio RailroadsSimilar in other places in country as well, railroad workers reacted with violenceStrikes quickly spread from city to cityPittsburgh, federal troops brought in to stop violence

12 Eugene V. Debs – led the brotherhood of Locomotive FiremanDid not believe in violenceFormed the American Railway Union 1893 unite all railway workers skilled and unskilled

14 Haymarket RiotGroup of anarchists joined the strikers at a protest rally in Chicago’s Haymarket SquareSomeone throws a bomb into police formation, killing one officerA riot breaks out, dozens were killedFour anarchist were convicted and hungThey were later pardoned by Illinois governorLabor unions get associated with violence and radical ideas

16 Pullman 1894George Pullman sets up towns just workers to attract a dedicated work forceAll needs provided for (a lake, schools, a theater, a church, paved sidewalks, shade trees, athletic programs, a band)Strict rules were enforced (ban on alcohol, mandatory church attendance)Panic of 1893 forces lay offs and a 25% wage cut, yet prices in town did not decrease

17 A delegation of workers met to protest, Pullman fired them = workers strikePullman shut down plantWorkers went to Eugene V. Debs and American Railway Union for supportCalled for a nationwide strike on Pullman CarsWidespread local strikes followed = by 1894, 260,000 workers joined the Pullman Strike

18 This disrupted mail delivery and railroad trafficFederal Government brought in and won court order that forbid union activity that disrupted railroad trafficPresident Grover Cleveland sent in 2,500 troops to make sure it was obeyed and strike endedSet precedent that court would not support union strikes and this helped limit union gains for 30 years

20 QuestionHow do you feel about the condition of workers in America? Explain.Do you feel that the growing gap between the rich and poor in our country is a major problem? Explain.Any thoughts on solutions?What do you think separates our population the most? Religion? Race? Money? Explain.